Over 340,000 Australians Won’t Be Getting a Tax Refund — Including Aussie Crypto Traders

The Australian Taxation office has received over 1.7 individual tax returns in 2020, a 12 percent increase over last year. As online lodgements spiked over 640 percent on July 1, however, the ATO has been quick to remind Australian taxpayers that not everybody is going to get a tax return, based on the rate of mistakes made in this year’s returns.

Tax returns filed from the 1st of July have broken an all-time record for online lodgements, with the ATO receiving in excess of 740,000 returns, compared to the 100,000 returns received in the same time period in 2019.

Despite a large number of early tax return lodgers, it’s highly likely that many Australian taxpayers won’t receive a tax return in the first batch of payments —of which $1 billion has already been distributed — due to a number of common mistakes.

The ATO has highlighted a number of major errors that are commonly made in tax returns, which are likely to prevent over 20 percent of early lodgers from receiving a payment. 

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ATO Warns Crypto Holders to Declare Crypto Gains

ATO assistant commissioner Karen Foat highlighted the importance of manually adding any and all sources of income when lodging a tax return in a statement this week — specifically mentioning cryptocurrency gains.

“We are asking taxpayers to add any amounts that aren’t automatically included to your return. This includes cash wages, foreign-sourced income, or even gains from cryptocurrency,”

While cryptocurrency gains can be accessed in a wide variety of ways, the ATO has recently taken specific measures to combat cryptocurrency-based tax evasion — notably issuing over 350,00 tax warning letters to Australian taxpayers associated with cryptocurrency usage. 

Cryptocurrency tax can be relatively complex in Australia. If you’re not sure of your tax obligations regarding cryptocurrency in Australia, check out Crypto News Australia’s cryptocurrency taxation guides.

Sam Town
Author

Sam Town

Sam Town is a FinTech and Blockchain Journalist from Adelaide, Australia. I work with a broad spectrum of finance, technology, and blockchain businesses to deliver engaging, high-quality content across a range of topics. Areas of specialization include FinTech, blockchain, NeoBanks, crowdfunding, P2P lending, tax structuring & strategy, artificial intelligence, InsurTech, and finance IoT applications.

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